Sentences with phrase «owned individual bonds»

In those days, some people owned individual bonds for income.

Most people who own individual bonds probably reinvest their principal right back into new bonds, which is exactly what bond funds do.

As I have covered previously, when you own an individual bond, you invest for a set period of time and get paid interest for the duration or maturity length of the bond.

Owning individual bonds provides the investor full transparency as opposed to fixed income mutual funds, which may even hold stocks.

Bonds funds are riskier than just owning individual bonds, as we've explained before.

As for bonds, John Mauldin recommends owning individual bonds and holding them to maturity.

If you owned an individual bond and held it to maturity, your annual returns would be the starting yield.

This is not much different than if you owned an individual bond and sold it yourself.

So someone owning individual bonds, with the exception of US treasuries, is usually going to be at greater risk than the average bond holder.

By contrast, if you own individual bonds, the prices will come down, but you can just wait until they mature and return their face value.

If you own individual bonds, it's a good idea to stay on top of changes in bond yield just in case.

In contrast to owning individual bonds, there are ongoing fees and expenses associated with owning shares of bond funds.

Unlike owning an individual bond, the ladder has maturing bonds each year, which gives the portfolio a stream of cash flow to reinvest in new, cheaper higher - yielding bonds.

But — and this is key — if and when investors owning the individual bonds died, they couldn't — I repeat, could not — bequeath the share or bond units to their children, friends, or loved ones.

You'll get a 1099 - INT if, in a brokerage account, you owned an individual bond (or other interest - bearing investment) that paid taxable and / or tax - exempt interest.

You'll get a 1099 - OID if, in a brokerage account, you owned an individual bond (or other interest - bearing investment) that was originally purchased at a discount — meaning that you paid less than face value.

The downside of owning individual bonds, though: the added research, making sure you get a favorable price without too much of a mark - up, and the need to monitor the account and ensure proper diversification.

Not exact matches

If you own the bond fund that fell in value, you can sell it right after the fall and still buy the portfolio of individual bonds some say you should have owned to begin with (which, again, also fell in value!).

Only with bonds it's even harder to create a diversified portfolio using individual bonds on your own unless you (a) have a large amount of capital (typically bonds are sold in lots of $ 10,000 or $ 100,000) and (b) know how to trade bonds on the open market (transaction costs can be larger for bonds than stocks because of the spreads and lack of liquidity).

With the service, you don't own individual stocks or bonds; instead, investments are held in the form of exchange - traded funds (ETFs).

According to fund tracker Morningstar: «A mutual fund is a basket of stocks, bonds or other types of assets that is professionally managed by an investment company on behalf of investors who don't have the time, know - how or resources to buy a diversified collection of individual securities (stocks, bonds etc.) on their own.

The tax implications of individual bonds are fairly straightforward: If an investor owns bonds that generate taxable income (which covers almost all bonds except for municipal bonds, in general), he or she is taxed on that income in the year it's received.

Bond funds typically own a number of individual bonds of varying maturities, so the impact of any single bond's performance is lessened if that issuer should fail to pay interest or princiBond funds typically own a number of individual bonds of varying maturities, so the impact of any single bond's performance is lessened if that issuer should fail to pay interest or princibond's performance is lessened if that issuer should fail to pay interest or principal.

Just as individuals have their own credit report and rating issued by credit bureaus, bond issuers generally are evaluated by their own set of ratings agencies to assess their creditworthiness.

It presumes that you are capable of doing the necessary research and due diligence to select individual bonds; that you have a significant risk appetite; that you are willing to incur significant price volatility; and that you are comfortable with the high likelihood of owning at least some bonds which will default.

Jan 03, 2017 Not all investors in the stock market are individuals who buy and sell their own hand - picked stocks and bonds.

As such, it's a good idea to own a diversified pool of muni bonds as opposed to an individual issue.

The first phase of sanctions targeted individuals, but these new measures prohibits U.S. institutions from trading new bonds with the government of Venezuela or state - owned oil company PDVSA, a move intended to choke off the regime's finances.

ETNs are designed to deliver the total return on a broad index or individual commodity, but rather than being structured as pools of securities that the fund itself owns, they are instead unsecured bonds (notes) issued by a firm that agrees to deliver the return of the index it tracks.

It inspires people to be better members of society, to bond together to achieve greater things than individuals could accomplish on their own, and to put the interest of society ahead of self interest.

The tightening network of economic and psychic bonds in which we live and from which we suffer, the growing compulsion to act, to produce, to think collectively which so disquiets us — what do they become, seen in this way, except the first portents of the super-organism which, woven of the threads of individual men, is preparing (theory and fact are at one on this point) not to mechanize and submerge us, but to raise us, by way of increasing complexity, to a higher awareness of our own personality?

China owns a large amount of those bonds, but many of those bonds are owned by other countries, individuals, and financial institutions.

And within each of those mutual funds, you will own lots of individual stocks or bonds depending on the type of mutual fund.

Each individual Bond film makes its own mark, be it in villains, locales, or general bad assery.

Because the individual private investors are considered qualified to do their own research into the credit and financial status of a district, «private placements» for bond sales by educational districts are exempt from the federal requirement to post Official Statements.

Debut novelist Cynthia Bond has been a teacher for over fifteen years and works with vulnerable and disadvantaged individuals, persuading them to take up their own pens.

Not interested in owning individual tax free bonds?

A bond ETF could contain hundreds — sometimes thousands — of bonds, making an ETF generally less risky than owning just a handful of individual bonds.

Like a mutual fund, an ETF allows investors to spread their money around without relying too much on any individual stock or bond, or owning any commodities directly.

That's not to say that a mutual fund won't decrease in value if there is a market correction in either stocks or bonds, but it is safer than owning the individual financial instruments.

It's cheap, but requires lots of time and knowledge to build your own portfolio properly from the ground up with individual stocks and bonds

Consider your own liquidity needs before investing in individual bonds.

Women are more likely than men to choose an investment that contains a diversified mix of stocks and bonds, such as target date or balanced funds, than try to assemble a portfolio on their own with individual stock and bond funds from their plan's roster.

In fact, owning bonds could be the key to you outperforming the market over time, and all without having to spend hours of your time picking and choosing individual stocks.

My observations have been: — I have experienced low volatility similar to a balanced series of stock and bonds — dividend income has grown between 6 - 8 % annually — not that much growth potential as most of the individual stocks I own are mature companies — I sleep well at night — none of these companies cut their distribution in 2008/2009 meltdown

Most individuals who want to own bonds do so through bond funds.

Just as individuals have their own credit report and rating issued by credit bureaus, bond issuers generally are evaluated by their own set of ratings agencies to assess their creditworthiness.

It is questionable whether the vast majority of individual investors should own directly any common stocks or individual bonds rather than investment funds.

That's because, unlike Treasuries, which have big overseas investors, municipal bonds are 70 % owned by individual investors like you and me who hold them until maturity.

Investors who prefer to conduct their own research and build a portfolio of individual bonds can forgo these management fees, but may be subject to commission or markup / markdown on individual bond purchases.